How Do Environmental Factors Impact Managers and Leaders of Essay

How Do Environmental Factors Impact Managers and Leaders of Organizations - Essay Example The paper tells that an organization’s internal environment is of great importance, and lays out such strategic plans that guarantee that all internal factors are working properly and in nice coordination. The internal environment is defined as â€Å"the conditions, entities, events, and factors within an organization that influences its activities and choices, particularly the behavior of the employees†. The internal environment is defined as â€Å"the conditions, entities, events, and factors within an organization that influences its activities and choices, particularly the behavior of the employees†. Internal factors mainly include the mission statement, leadership, the organizational culture comprising of employees and management, and resources. These internal factors have a direct influence on managers and organizational leaders and will continue to influence in future because they have to make strategic decisions that satisfy all these factors. For example , managers and leaders must make sure that their employees are working in harmony with each other with fewest possible organizational conflicts. Research suggests that the major causes of workplace conflicts are stress, reduced budget, short deadlines and heavy workload. Whatever the cause, it is necessary for the managers and leaders of the organization to deal with the conflicts efficiently to improve teamwork and productivity. This will be more important in future because of the increasing competitiveness in the market. The external environment of an organization consists of all those elements in the remote, industrial and external operating environment that impact upon the design of its strategic plans and define its competitive position in the market.